If your business sells direct to consumer products, you should be familiar with the Federal Trade Commission’s (FTC) Green Guides, which provide recommendations and standards for businesses regarding the use of environmental marketing claims, often referred to as “green” or “eco-friendly” claims. The purpose of the Green Guides is to prevent deceptive or misleading advertising practices in the context of environmental claims.
The FTC Green Guides outline general principles that businesses should follow when making environmental claims in their marketing materials, including labels, advertisements, and promotional statements. The guides offer specific guidance on the following topics: general environmental benefit claims; carbon offsets; certifications and seals of approval; compostable; degradable; free-of; non-toxic; ozone-safe and ozone-friendly; recyclable; recycled content; refillable; made with renewable energy; made with renewable materials; and source reduction. Here’s a Summary of the 2012 FTC Green Guides.
The guidelines encourage advertisers to make clear, specific, and substantiated claims to avoid misleading consumers. They also provide instructions on how to avoid general claims that may be difficult for consumers to interpret or verify. The guides also address issues related to certifications and seals of approval, consumer perception of claims, and the disclosure of any relevant limitations or qualifications.
It’s important to note that the FTC Green Guides are voluntary, but they reflect the FTC’s interpretation of the law regarding environmental advertising claims. If a business fails to follow these guidelines and engages in deceptive practices, it may face enforcement actions from the FTC, including investigations and potential penalties.
In other words, the FTC Green Guides helps provide guidelines for company’s to avoid greenwashing. What you might not know is that the FTC is currently taking public comments and updating the Green Guides, which should be released later in 2023.
If you’re business needs help with ensuring that you are not making any misleading claims you should consult with your lawyer. As sustainability professionals, we not only understand how to interpret your sustainability performance, but how to avoid greenwashing, so we are happy to assess how you are currently marketing your sustainability performance.